1. Governor’s vision for Arkansas When people look to Arkansas, they should see a leader in the nation – in the world – and say ‘We want to do what they did in Arkansas.’ - Governor Mike Beebe, State of State 2006

2. The State’s budget for FY 2010 is approximately $24 billion

3. Agency IT Budgets Agency FY 10 Amount Budgeted for IT Projects and Operations Human Services $ 118,712,153 Finance & Administration$ 81,929,388 Education$ 42,720,731 Workforce Services$ 21,151,173 State Police$ 21,963,142 Highway and Transportation$ 9,646,850 Health$ 9,930,356 Crime Information Center$ 8,601,954 Student Loan Authority$ 5,289,000 Correction$ 5,635,881

4. There have been two budget reductions this fiscal year

5. In October there was a reduction of $99 million approximately a 2.4% reduction

6. In the last few weeks there was announced a further $106 million reduction

7. $205 million budget reduction total for FY 2010

8. There were no budget reductions for FY09

9. Enterprise Architecture Cost savings on Endpoint Protection Platform Solutions for the State of Arkansas

10. Benefits of fewer EPP solutions Multiple Heterogeneous SolutionsFewer Solutions Harder to manage due to diversityEasier to manage Wide variety of PricingMore uniform Prices Higher PricesEconomies of Scale due to high volume Higher exposure to vulnerabilitiesReduced security risks Better prepared against attacks

11. Steps Taken Analyzed the current environment and current pricing for AV and other security software Drafted EPP requirements for AV and EPP. Validated and rated the requirements with Security Working Group. Asked Vendors to submit their response to the requirements. Selected three vendors (MS, McAfee, Symantec) Negotiated reduced prices on the state contract, based on expected volume.

12. Cost savings with Microsoft ForefrontUnit PriceCostSavings One Year Pricing $ 6.00 $ 213,456.00 $ 76,488.40 Two Year Pricing $ 6.00 $ 213,456.00 $ 76,488.40 Client SecurityUnit PriceCostSavings One Year Pricing $ 24.00 $ 853,824.00 $ (563,879.60) Two Year Pricing $ 24.00 $ 853,824.00 $ (563,879.60) *Calculations based on Number of systems for State Agencies (35576) **Savings calculated based on the average price from the SHI purchases for AV and EPP software ($8.15)

13. Cost savings with McAfee AntivirusUnit PriceCostSavings One Year Pricing $ 4.50 $ 160,092.00 $ 129,852.40 Two Year Pricing $ 3.75 $ 133,410.00 $ 156,534.40 Endpoint AdvancedUnit PriceCostSavings One Year Pricing $ 6.00 $ 213,456.00 $ 76,488.40 Two Year Pricing $ 5.00 $ 177,880.00 $ 112,064.40 *Calculations based on Number of systems for State Agencies (35576) **Savings calculated based on the average price from the SHI purchases for AV and EPP software ($8.15)

14. Cost savings with Symantec EndpointUnit PriceCostSavings One Year Pricing $ 5.70 $ 202,783.20 $ 87,161.20 Two Year Pricing $ 4.85 $ 172,543.60 $ 117,400.80 Protection SuiteUnit PriceCostSavings One Year Pricing $ 12.30 $ 437,584.80 $ (147,640.40) Two Year Pricing $ 10.65 $ 378,884.40 $ (88,940.00) *Calculations based on Number of systems for State Agencies (35576) **Savings calculated based on the average price from the SHI purchases for AV and EPP software ($8.15)

15. Other Pricing Information Provided by Vendors Microsoft One Year Two Year (Gov)Forefront $ 6.00 $ 12.00 (Gov)Client Security $ 24.00 $ 48.00 (Aca)Forefront $ 2.52 $ 5.04 (Aca)Client Security $ 10.80 $ 21.60 McAfee One Year Two Year Antivirus $ 4.50 $ 7.50 Endpoint Advanced $ 6.00 $ 10.00 LinuxShield $ 4.00 $ 5.50 Host DLP $ 14.50 $ 18.00 Device Control $ 8.00 $ 10.00 Virus Scan (Schools) $ 1.40 $ 2.80 Symantec One Year Two Year Endpoint Protection $ 5.70 $ 9.70 Protection Suite $ 12.30 $ 21.30